CEE and the Residential Clothes Washer Initiative

1
CEE and the Residential Clothes Washer Initiative

• Shel Feldman, SFMC
• Jane Peters, Research Into Action, Inc.
• Mitch Rosenberg, XENERGY, Inc.

2
Bottom line The National Initiative Model works

• CEEs activities contributed to The end of the
  beginning for CWs
• Facilitated the decisions of utilities and others
  to join the Initiative
• Helped shape the offerings of manufacturers
• But synergies and the target product/market are
  also important

3
What is the National Initiative Model?

• Voluntary working agreements between CEE and
  utilities/regional programs
• To promote the manufacture, distribution, and
  sale of RECWs

4
What are the components of the model?

• CEE offers its members and other stakeholders a
  centralized venue for program facilitation

5
What are the components of the model?

• CEE offers its members and other stakeholders a
  centralized venue for program facilitation
• Participants provide support for the initiative
  and for local programs

6
What are the components of the model?

• CEE offers its members and other stakeholders a
  centralized venue for program facilitation
• Participants provide support for the initiative
  and for local programs
• No requirements for
• Specific regional/local designs
• Rebates or rebate levels
• Product ordering

7
Why did the model work?

• Program design addressed the crucial market
  barrier
• Implementation activities incorporated valuable
  services ...
• accompanied by regular, expert, trustworthy
  communication

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Product availability, the chicken egg market
barrier

• Opportunity constraints How can we attain the
  savings--or support the product--without
  qualifying models?

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Product availability, the chicken egg market
barrier

• Opportunity constraints How can we attain the
  savings--or support the product--without
  qualifying models?
• Market risk for manufacturers How do we know a
  substantial market will emerge?

10
The logic of the intervention

• Demonstrate ability to reduce market risk, thus
  ...
• inducing additional product offerings

11
Services to the energy efficiency community

• Provided credible specifications
• Facilitated program approval
• Enlisted beyond core players
• Encouraged cooperation by other market actors
• Offered regular updates

12
Services to the market actors

• Aggregated program participants
• Developed credible common specifications
• Focused on performance rather than specific
  designs
• Promoted competition through multiple tiers
• Provided communication channel

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The RCWI as a paradigm for future programs

• Some aspects of the RCWI likely to be
  transferable
• Others may not be readily repeated
• And the context for other MT efforts may not
  always be so favorable

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Transferable elements may have been crucial to
success

• Establishing a broadly inclusive process to
  develop and review qualification criteria

15
Transferable elements may have been crucial to
success

• Establishing a broadly inclusive process to
  develop and review qualification criteria
• Providing many stakeholders with sense of
  ownership

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Transferable elements may have been crucial to
success

• Establishing a broadly inclusive process to
  develop and review qualification criteria
• Providing many stakeholders with sense of
  ownership
• Offering opportunities to shape the program to
  local or regional needs

17
Contextual elements may also have benefited the
RCWI

• Market structure Relative concentration and
  fight for share

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Contextual elements may also have benefited the
RCWI

• Market structure Relative concentration and
  fight for share
• Regulatory The stimulus of the standard-setting
  process

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Contextual elements may also have benefited the
RCWI

• Market structure Relative concentration and
  fight for share
• Regulatory The stimulus of the standard-setting
  process
• Technology Options perceived as near-ready for
  market

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Contextual elements may also have benefited the
RCWI

• Market structure Relative concentration and
  fight for share
• Regulatory The stimulus of the standard-setting
  process
• Technology Options perceived as near-ready for
  market
• Product Non-energy RECW benefits

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Contextual elements may also have benefited the
RCWI

• Market structure Relative concentration and
  fight for share
• Regulatory The stimulus of the standard-setting
  process
• Technology Options perceived as near-ready for
  market
• Product Non-energy RECW benefits
• Political ENERGY STAR program initiation and
  expansion

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CEEs leadership and its formal benefits

• Ongoing organization, with
• National membership
• Advice of counsel
• Technical expertise
• Centralization of market information
• Liaison with other market actors

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Other CEE contributions

• Clearinghouse
• Recruiter
• Forum
• Resource

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Other CEE contributions Clearinghouse

• Common specifications for use across
  energy-efficiency programs
• Description of the initiative
• Regular updates of qualifying products
• Promotional materials
• Evaluation reports, news, etc.

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Other CEE contributions Recruiter, Forum,
Resource

• Recruiter
• Widely recognized
• Source of trustworthy, expert info
• Forum
• Implementation experience
• Review of issues such as labeling
• Resource
• Promotional events
• Contacts with other market actors

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RCWI participants saw great value in CEEs
activities

• Developing common qualifying specs
• Recruiting a critical mass
• Reducing hassle, program development costs
• Facilitating coordination
• Moving beyond straight resource acquisition
  programs

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Areas for possible improvement

• Recruitment of participants
• Clarification of functions and roles
• Communication with retailers